Beauty started business with 40,000, made a profit of 50,000 and ended the year with 70,000 capital. What would have accounted for the closing capital?

• A. Drawings of 20,000 was made
• B. The opening capital of 40,000 was invested
• C. Beauty was paid a salary of 90,000
• D. Cash shortage of 30,000 was recorded

Which of the following is not a type of branch?

• A. Dependent branch
• B. foreign branch
• C. independent branch
• D. single branch

A major cause of discrepancy between the bank statement and the cashbook that overstates the bank statement balance is the

• A. commission paid
• B. interest received
• C. direct withdrawal
• D. direct payment

Use the information below to answer question .

.........................31 Dec. 05........31 Dec. 06

Total fixed assets.........N7 800............N6 600

Total current assets.......N12 100............N17800

Total current liabilities..N4 700............N3 800

Drawings for 2006 is N5 200.

What is the net profit for 2006?

• A. N19 000
• B. N16 000
• C. N12 600
• D. N10 600

What are the appropriate recording procedures for entries in the trial balance?

• A. source documents, ledgers and trial balance
• B. Ledgers, trial balance and source documents
• C. Ledgers, source documents and trial balance
• D. Cash account, ledgers and trial balance

Use the following to answer this question.

Industry ltd, issued 100,000 shares at #1 each out of its Authorized share capital of #200,000 at #1 each. At the of the first call, all shareholders paid in full, except for two shareholder who owes #20,000.

The company's paid-up capital is

• A. #70,000
• B. #80,000
• C. #220,000
• D. #120,000

In a petty cash book, the closing balance was N235, imprest N1,250, while the stationery expenses were N655. How much was paid for other general expenses?

• A. N360
• B. N355
• C. N350
• D. N305

Given: Direct material: N10,000, Direct labour: N5,000, Direct expenses: N2,000, Factory overhead: N4,000. What is the prime cost?

• A) N21,000
• B) N17,000
• C) N15,000
• D) N6,000

Use the information below to answer this question

SegunOjo, didn’t keep her books on double principle. On 1st Jan, 2014, cash in hand was 850, bank overdraft 3500, debtor 15,500,stock 18,000, fittings 9,000 and creditors 12,700. As at Dec, 2014, cash in hand was 1200, cash at bank 2,500, debtors 10,000, stock 20,500, furnishing 4,000 and creditors 17,000

Determine the closing capital 31/12/2014

• A. 17,500
• B. 38,200
• C. 20,700
• D. 27,200

The purchase of two generators by Hassan Electronics Enterprises should be recorded as?

• A. an acquistion of fixed assets
• B. an expenses in its general office expenses account
• C. an acquistion of stock
• D. a part of capital in the capital account